Hi all,

I'm trying to understand the various costs to be factored in when buying an under-construction property, and there's something that confuses me.

I've come across Perfection of Transfer / Perfection of Charge (POT & POC), as well as Memorandum of Transfer / Memorandum of Charge (MOT & MOC).

Are these ultimately referring to the same thing? If no, when exactly will these be due/applicable?

POT is the process to formalize the change from Master Title to Strata/Individual title using MOT (Form 14A), so that the buyer is recognized as the new owner of their unit/property that's issued on the strata/individual title.

POC is to transfer ownership for an Individual or Strata Title using the MOC (Form 16A), to the bank who supplied the home loan to purchase the property, so that the bank is the owner of the property until the borrower has paid off the loan.

To simplify it:

POT/POC = the process/action taken
MOT/MOC = a specific legal document involved in POT/POC

But when tossing around the abbreviation in fees, POT/POC = the legal fees involved, while MOT/MOC = stamp duty for the documents

Do you have to pay stamping fee for MOC if it was paid at the point of purchase?

You'll need to check for the receipt given by your appointed loan lawyer on whether that's paid or not, if no receipt yet (documents not released yet), can call your lawyer to check. If it's covered by developer usually there's a document from developer that states exactly what is covered (usually listed as "Stamp Duty for [item]" or "Free MOC stamp duty", or anything of that vein)

Your lawyer is best place to check whether fees have been paid, honestly.

This post has been edited by DragonReine: Sep 1 2023, 02:50 PM

MOC usually u already paid the ad valorem stamp duty during your loan stage previously.

ad valorem = full stamp duty calculated on the amount of loan approved (0.5%)

the stamping during MOC stage is just 10 bucks per copy

Hi!

I have a question on the MOT because I am still confuse. The image shared was part of the payment schedule in SPA. Is the payment for MOT? Because in the invoice from developer to bank, it stated as “MOT & strata tittle issuance RM xxxx”. So i was wondering if i still need to pay for the MOT amount or the bank has paid and include under loan amount. Anyone can help to advice to clear my doubt?

The strata tittle is still yet to be issued and given to me. VP already completed just frw months ago



This post has been edited by missartikha: Sep 20 2023, 10:04 PM

this is under the new HDA (amended in 2018)

developer has to get title out before can give VP

so one of the condition for developer to claim that stage of payment from your bank is to sign the MOT (developer sign, not you) and send the MOT to the S&P lawyer together with original title.

definitely bank loan does not include your MOT amount.

Ok thanks! Apparently, the developer has received approval from kpkt on postponement of the strata title issuance until end of the year. But developer now is keeping quiet about strata tittle to us.